Chinese firm wins U.S. government OK to buy A123 Systems

The U.S. government has approved the sale of bankrupt stimulus-fund recipient A123 Systems Inc. to Wanxiang Group Corp., in a setback for Johnson Controls Inc., the Chinese company announced. »Read Full Blog Post

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The government should have quietly told JCI if they ever expect another cent of free federal funds they better not let a $250 million dollar investment in battery technology fall into the hands of the Chinese over $5 million. JCI is a pathetic company...

Considering that A123 hemorrhages millions of dollars in losses every month this is makes better business sense. Why take on another company assets when you'll be losing money for the foreseeable future. Also, it wasn't just JCI alone that fell $5 mil short, they had a partner as well. I believe it was a Japanese company.

It's mostly an R & D company at this point which will always lose millions each month. That's why our government gives such generous tax breaks and grants to these companies for innovation.

The last big company I worked for never actually made money in their 7 year existence. Collectively I think they lost over $300 million and were projected to lose another $75 million that year. Yet the company was bought after an IPO for over $2 billion. Oh and they creates about 700 high paying jobs without a single government cent...

This is by no stretch of the imagination the fault of JCI. Our government flushes $133 million away and then decides to give this company to the Chinese over $5 million????? This is a deliberate act that is in no way being responsible to the American people. The efforts of the Obama administration to weaken this great country of ours are obvious and we will all pay the price shortly.

This isn't exactly the free market. And considering JCI has received over $500 million in grants for battery production alone, I just don't see how JCI doesn't end up with this company. And yes, it's as simple as our politicians calling up JCI lobbyists and letting them know if they don't up their bid, the next round of grants and tax credits allowing JCI to squash their competition is going to come at a much steeper price or isn't coming at all.

It's a pay to play system and it seems JCI is only interested in the getting paid part...

The fact that TAXPAYER money went into A123 ($133M)should have weighed significantly that the assets should remain in the US to benefit/potentially benefit the taxpayers with jobs. There should be stipulations on any money provided to a firm from our taxes that the funds/assets cannot be sold overseas if bankruptcy/merger/acquistion should occur. Essentially making sure if there is an American buyer, the people have a chance to recoup their lost savings(taxes) via the technology/assets staying in country. Our elected officials of both parties continue to fail us. Just disgusting. BTW, to Better w/o Bush,...thanks for the laugh by trying to blame this on JCI even after suggesting the government should have secretly told JCI what to bid. Let me know when you got the people responsible for the JFK assasination.

Munny...so how do you think JCI got those $500 million in taxpayer grants? You think it was just luck of the draw? You think those lobbyists work and operate for free? Do you really believe all that money dumped into elections comes with no return?

Just another example of our politicians selling us out in treasonous fashion. Nothing to see here folks...pay no attention to the passing of sensitive technology that could be an economic advantage for us to the hands of our enemies, and yes we built that! and payed for it too! wake up America!

Good luck. The politicians like the system just the way it is. How else do you think they get so rich on a government salary or do you believe these elected officials are also some of the smartest financial investors in the US???